Senate Study Bill 1159 - Introduced SENATE FILE _____ BY (PROPOSED COMMITTEE ON LOCAL GOVERNMENT BILL BY CHAIRPERSON WEBSTER) A BILL FOR An Act relating to Iowas urban renewal law and urban 1 revitalization law, by establishing provisions governing 2 certain property used for gaming, and including effective 3 date and applicability provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2676XC (4) 91 jm/md
S.F. _____ Section 1. Section 403.5, Code 2025, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 6A. An urban renewal plan adopted or 3 amended on or after the effective date of this Act shall not 4 include an urban renewal project related to property upon which 5 a licensee, issued a license under chapter 99F on or after 6 January 1, 2025, operates, and the urban renewal area shall not 7 include the property upon which such a licensee operates. 8 Sec. 2. Section 403.6, subsection 19, Code 2025, is amended 9 by adding the following new paragraph: 10 NEW PARAGRAPH . c. Notwithstanding any other provision to 11 the contrary, an assessment agreement entered into on or after 12 the effective date of this Act involving property upon which 13 a licensee, issued a license under chapter 99F on or after 14 January 1, 2025, will operate, shall establish the minimum 15 actual value of the land and completed improvements made on the 16 land at an amount not less than the project cost presented to 17 the state racing and gaming commission as part of the license 18 approval. 19 Sec. 3. Section 403.19, subsection 2, paragraph a, Code 20 2025, is amended to read as follows: 21 a. That portion of the taxes each year in excess of such 22 amount shall be allocated to and when collected be paid into a 23 special fund of the municipality to pay the principal of and 24 interest on loans, moneys advanced to, or indebtedness, whether 25 funded, refunded, assumed, or otherwise, including bonds 26 issued under the authority of section 403.9, subsection 1 , 27 incurred by the municipality to finance or refinance, in whole 28 or in part, an urban renewal project within the area, and to 29 provide assistance for low and moderate income family housing 30 as provided in section 403.22 . However, except as provided 31 in paragraph b , taxes for the regular and voter-approved 32 physical plant and equipment levy of a school district imposed 33 pursuant to section 298.2 and taxes for the instructional 34 support program of a school district imposed pursuant to 35 -1- LSB 2676XC (4) 91 jm/md 1/ 3
S.F. _____ section 257.19 , taxes for the payment of bonds and interest of 1 each taxing district, taxes levied against property upon which 2 a licensee, issued a license under chapter 99F on or after 3 January 1, 2025, operates, and taxes imposed under section 4 346.27, subsection 22 , related to joint county-city buildings 5 shall be collected against all taxable property within the 6 taxing district without limitation by the provisions of this 7 subsection . 8 Sec. 4. Section 404.3C, subsection 2, Code 2025, is amended 9 by adding the following new paragraph: 10 NEW PARAGRAPH . c. Notwithstanding any other provision to 11 the contrary, an assessment agreement entered into on or after 12 the effective date of this Act, involving property upon which 13 a licensee, issued a license under chapter 99F on or after 14 January 1, 2025, will operate, shall establish the minimum 15 actual value of the land and completed improvements made on the 16 land at an amount not less than the project cost presented to 17 the state racing and gaming commission as part of the license 18 approval. 19 Sec. 5. EFFECTIVE DATE. This Act, being deemed of immediate 20 importance, takes effect upon enactment. 21 Sec. 6. APPLICABILITY. The following applies to property 22 taxes due and payable in fiscal years beginning on or after 23 July 1, 2025: 24 The section of this Act amending section 403.19. 25 EXPLANATION 26 The inclusion of this explanation does not constitute agreement with 27 the explanations substance by the members of the general assembly. 28 This bill relates to Iowas urban renewal and urban 29 revitalization laws. 30 The bill prohibits an urban renewal plan from including 31 projects related to the property upon which a license has been 32 issued on or after January 1, 2025, to a licensee to conduct 33 gambling games pursuant to Code chapter 99F and prohibits the 34 urban renewal area from including the property upon which such 35 -2- LSB 2676XC (4) 91 jm/md 2/ 3
S.F. _____ a licensee operates. 1 The bill specifies that a minimum assessment agreement in 2 either an urban renewal or urban revitalization area involving 3 property upon which a licensee, issued a license to conduct 4 gambling games pursuant to Code chapter 99F on or after January 5 1, 2025, will operate shall establish the minimum actual value 6 at an amount not less than the project cost presented to the 7 state racing and gaming commission as part of the license 8 approval. 9 The bill excludes from a division of revenue (tax increment 10 financing) under Code section 403.19, property taxes levied 11 against a property upon which a licensee, issued a license 12 under Code chapter 99F on or after January 1, 2025, operates. 13 The bill takes effect upon enactment and the section of the 14 bill amending Code section 403.19 applies to property taxes due 15 and payable in fiscal years beginning on or after July 1, 2025. 16 -3- LSB 2676XC (4) 91 jm/md 3/ 3